2009 GSA International Products and Services Expo

1. Overview and Updates on the BioPreferredProgramJeff GoodmanChief, Environmental Management Division / USDASteve DevlinIndustrial Specialist / Iowa State University 2009 GSA International Products and Services Expo

2. Discussion Topics • Overview of BioPreferred Program • USDA’s Role • Program Updates • Designated Items • Labeling Program • BioPreferred Tools • Implementation • Future Events 1

3. What is BioPreferred? • USDA brand name for Biobased Markets Program established in Farm Bill • Identifies and seeks to establish new markets for biobased products • Two major program elements • Federal procurement preference program requires Federal agencies and contractors to purchase qualifying products • Voluntary labeling program will allow product vendors to use a USDA logo to identify qualifying products 2

4. What is a Biobased Product? • Biobased products are those the Secretary of Agriculture determines to be composed in whole or large part of renewable agricultural or forestry materials. • Biobased products can include plant, animal, and marine materials. 3

5. Why Promote Biobased Products? • Climate Change Impact Reduction—Qualifying biobased products reduce the introduction of new fossil carbon into the atmosphere. • Energy/Environmental Security—Biobased products replace petroleum products helping to increase U.S. energy and environmental security and independence. Many biobased products are sustainable, renewable and compostable. • Economic Development—Biobased products create jobs by increasing demand for agricultural and forestry materials and by increasing new product development, manufacturing and ultimately sales. 4

6. Program Authorities • Farm Security and Rural Investment Act of 2002 (2002 Farm Bill) • Food, Conservation and Energy Act of 2008 (2008 Farm Bill) • Energy Policy Act of 2005 - Sections 205 and 943 • Executive Order 13423 - January 24, 2007 • FAR Updated - November 7, 2008 5

7. 2008 Farm Bill • Updates definition of biobased product • Permits designation of intermediate ingredients and feedstocks (IIF) • Permits labeling of IIF and complex products • Directs USDA to establish national registry of testing centers • Specifies detailed reporting requirements • Requires management plan 6

8. BioPreferred's High Profile • Significant discussion topic during Secretary Vilsack's Senate confirmation hearing • USDA letter to all Cabinet Heads • Senator Harkin plans to call each Cabinet level department to testify to the Senate Agriculture Committee on its implementation progress 7

9. Federal Procurement Preference One year following designation of biobased items in the Federal Register, Federal departments and agencies must give a procurement preference to designated items composed of biobased products unless those items • Are not reasonably available • Do not perform adequately, or • Are not reasonably priced 8

10. USDA’s Role in Federal Procurement Preference Program • Establish Guidelines (published January 11, 2005) • Designate BioPreferred items - or generic groupings of biobased products that receive procurement preference • Establish BioPreferred model procurement program 9

11. Designated Items • 33 items have been designated • As of May 2009, Federal procurement preference is in place for all 33 items • Over 3,700 products represented • Many products that can be used in: • Construction • Cafeteria/Food Service • Custodial Services • Vehicle Maintenance • Operations and Maintenance 10

12. Designated Items (cont’d). BioPreferred Tools • Sample Contract Language • Training Materials • Technical Fact Sheets • Life Cycle Assessment Overview • Designation Process • How to Do BioPreferred Business 11

13. Designated Items (cont’d.) BioPreferred Tools • Sample Contract Language • Training Materials • Technical Fact Sheets • Life Cycle Assessment Overview • Designation Process • How to Do BioPreferred Business 12

14. Round 5 Proposed Items BioPreferred Tools • Round 5 regulation proposed in October 2008 • No public comments received • USDA hopes to publish final rule this summer • Items include: • Sample Contract Language • Training Materials • Technical Fact Sheets • Life Cycle Assessment Overview • Designation Process • How to Do BioPreferred Business 13

15. Labeling Program • Voluntary labelingprogram will allowproduct vendors to usea USDA logo to identifyqualifying products. • Proposed rule underOMB review. • USDA plans to issue proposed rule this summer. • USDA also plans to conduct market research on label this summer/fall. 14

16. BioPreferred Tools • General awareness/outreach materials • Fact sheet/brochure • BioPreferred exhibit/booth • Web site • Online biobased basics course • Technical aspects of biobased products • Designated item fact sheets (ex: vehicles and maintenance) • Life-cycle performance information sheet 15

17. BioPreferred Tools: Web site 16

18. Web site: Short-term Fix-up • www.biopreferred.gov • The new things you can benefit from right away • Improved look and feel • Streamlined Home Page • Catalog of BioPreferred products is front and center • Improved navigation • Updated content (policies and regulations, training, contract language, etc.) 17

19. Web site: Coming Soon • In the near future, we hope to give you an even better experience on our site. • The following changes will become available soon: • Faster loading catalog • Greatly expanded search function in the catalog • More flexible catalog with options to compare products • Improved product information, including hot links to product vendor’s Web site • A community portal for exchange of information among users • And whatever we (or you) can think of. Please send your suggestions to biopreferred@usda.gov. 18

20. BioPreferred Tools (cont'd.) • Sales (for vendors/manufacturers) • Item designation process • “How to do BioPreferred” business guide • BioPreferred product catalog • Procurement • Online and classroom trainings on program implementation • Purchase card fact sheets • Contract templates • Seller/buyer “matchmaking” assistance 19

21. BioPreferred Tools (cont'd.) • BioPreferred resource/tool audit during FY 2009 (who’s using which tools and how) • Combine/streamline tools • Divest in non-effective ones • Deliver tools more efficiently • Develop evaluation methods 20

22. Training and Cooperation • Working with the Federal Acquisition Institute (FAI) to include BioPreferred in acquisition training; Spoke at FAI procurement seminars • Working with the Department of Defense and the Defense Logistics Agency to ensure all DoD procurement officials receive BioPreferred awareness and procurement training • Provided training to GSA procurement personnel on BioPreferred contracting, including mini-training sessions on-site • Trained the Department of Treasury on including BioPreferred in all contracts; Working with Treasury on their upcoming rebid of enterprise-wide janitorial and food service contracts 21

23. USDA Implementation Strategy 22

24. USDA Walking the Walk • USDA Green Purchasing Plan (GPAPP) • USDA Advantage • USDA biobased product use • “Green Bottle” spring waterin cafeteria • BioGreen® fertilizer appliedto Whitten Building lawn • Biobased roof coatingon WV ARS facility 23

25. USDA Walking the Walk: Outreach • Federal • Federal Environmental Symposia (East and West) – June • GSA SmartPay (Biobased product procurement via government charge cards) – July • GovEnergy – Aug • Industry • NPE (International plastics showcase) – June • BIO World Congress – July • BioPolymers Symposium – Sept 24

26. BioPreferred 2009 Timeline 25

27. BioPreferred 2010 Milestones • Finalize labeling rule and initiate labeling program • Augment item designation: Rounds 8 − 12 • Revise program guidelines • Continue outreach and training 26

28. Revising Program Guidelines • Re-examine existing testing and evaluation processes for item designation • Include designation of intermediates and feedstocks • Address designation of complex products such as automobiles • Replace "item" with a more accurate term such as "product category" 27

29. Designating Intermediates/Feedstocks: Farm Bill Requirements • Designate intermediate ingredients and feedstocks used to produce items subject to Federal procurement preference • Automatically designate items composed of intermediate ingredients and feedstocks • If content of designated intermediate ingredients and feedstocks exceeds 50% of item • Unless Secretary determines different percentage is appropriate 28

30. Biobased Intermediates/Feedstocks 29

31. Designating Complex Products • Complex products are those with multiple components (ex: automobiles, office furniture, mattresses) • Currently there are no approved testing methods for determining biobased content of complex products • Revised guidelines will need to await approved testing methods or determine decision rules for designating complex products based on testing individual components 30

32. Automobile Biobased Components Source: Ford Motor Company 31

33. For Further Information • Jeff Goodman, Departmental Administration, Environmental Management Division jeffrey.goodman@da.usda.gov, ( 202) 401-4747 • Ron Buckhalt, Departmental Administration, Environmental Management Division ronb.buckhalt@da.usda.gov, (202) 205-4008 • Steve Devlin, Iowa State University, sdevlin@iastate.edu, (641) 613-3298 • Website: http://www.biopreferred.gov 32